Consumers may view the marketing channel as the collection of the stores they

Consumers may view the marketing channel as the

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Consumers may view the marketing channel as the collection of the stores they patronize or the websites they visit. Finally, the researcher observing the marketing channel as it operates in the economic system may describe it in terms of its structural dimensions and efficiency of operation. Given these differing perspectives, it is not possible to have a single definition of the marketing channel. Therefore, the following definitions can be considered for our purpose. Definition by Rolnicki (1998): A marketing channel is the path a product or service takes as it moves from the manufacturer to its end user or consumer (Rolnicki) Definition by Stern et al (2006): A marketing channel is a set of interdependent organizations involved in the process of making a product or service available for consumption or use (Stern) Kotler and Keller (2012): Marketing channels are sets of interdependent organizations participating in the process of making a product or service available for use or consumption. Pelton, Strutton, and Lumpkin (2002) define marketing channel from exchange or relationship management perspective as an array of exchange relationships that create customer value in the acquisition, consumption, and disposition of products and services. Definition by Rosenbloom (2012): Marketing channel is the external contractual organization that management operates to achieve its distribution objectives. Rosenbloom viewed marketing channel as one of the key marketing decision areas that marketing management must address. Therefore, in the definition, four terms should be especially noted: external, contractual organization, operates, and distribution objectives. The term external means that the marketing channel exists outside the firm. The term contractual organization refers to those firms or parties who are involved in negotiatory functions as a product or service moves from the producer to its ultimate user. The third term, operates , suggests involvement by management in the affairs of the channel. This involvement may range from the initial development of channel structure all the way to day-to-day management of the channel. Finally, distribution objectives , the fourth key term in the definition, means that management has certain distribution goals in mind. The marketing channel exists as a means for reaching these. VII.1.2. Terms used for Marketing Intermediaries Term Description Middleman Any intermediary between manufacturer and end-user markets. Agent or Broker Any intermediary with legal authority to act on behalf of the manufacturer. Wholesaler An intermediary who sells to other intermediaries, usually to retailers; usually applies to consumer markets. Retailer An intermediary who sells directly to consumers.
Distributor An imprecise term, usually used to describe intermediaries who perform a variety of distribution function, including selling, maintaining inventories, extending credit, and so on; a more common term in industrial markets but may also be used to refer to wholesalers.

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